Download - 2007 Engineering Salary Report
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June 2007 1
JUNE 2007
Sponsored by: Conducted by:
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June 2007 2
Summary
Methodology
An email survey was sent to Design News magazine subscribers. The study was fielded during the month of May. Results of the survey were tabulated by Research Results, an independent research firm.
Results are based on 1,225 usable replies. At a 95% confidence level, results are accurate with a margin of +/ - 2.8%
Demographics
• Average age is 46.• Average number of years as an engineer: 18; years
in current job: 6.5.• 95% have college degrees, with 46% having a
Bachelor’s in Engineering and 19% having a Master’s.
• Of those with degrees in engineering, 40% have degrees in mechanical engineering; 27% in electrical engineering.
• 75% have some degree of supervisory responsibility, with 53% having budgetary responsibility.
• Respondents work in a large variety of industries, with automotive, aerospace, and medical among the top fields.
Compensation
• Average annual salary is $78,000.• Nearly a quarter of salaries over the past 12 months
are above $100,000.• Most salary increases were between 2% and 4%,
with an average of 3%.
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June 2007 3
Summary (continued)
Job Responsibilities
• Respondents supervise an average of three people.
• Project management, computer, and communication skills are viewed as the most important skills for career advancement.
Job satisfaction
• 80% are satisfied with their careers; 73% are satisfied with their current jobs.
• 63% would recommend an engineering career to their children or friends.
• Over half feel their role as an engineer is respected and appreciated and that overall engineering is a respected profession.
• Nearly half feel they are fully using their engineering skills.
• Salary, feeling of accomplishment, and technical challenges are the top reasons for job satisfaction.
• Meeting deadlines, management issues, staying current with technology, and increased workload are the most difficult challenges in engineers’current jobs.
Outlook and Industry Trends
• Over the next five years, respondents anticipate a more diversified workload, more outsourcing, and more emphasis on design work.
• 78% of companies are outsourcing, with an average of 9% of a company’s design work being outsourced.
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June 2007 4
What is your annual base salary?
2%
6%
10%
15%
18%
14%
11%
9%
4%5%
3%2%
0%
4%
8%
12%
16%
20%
$30,
000
- $39
,999
$40,
000
- $49
,999
$50,
000
- $59
,999
$60,
000
- $69
,999
$70,
000
- $79
,999
$80,
000
- $89
,999
$90,
000
- $99
,999
$100
,000
- $1
09,9
99
$110
,000
- $1
99,9
99
$120
,000
- $1
29,9
99
$130
,000
- $1
49,9
99
$150
,000
- $2
50,0
00
Average = $78,000
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June 2007 5
In the past year, how did your salary level change?
13%
44%
14%
4% 3% 4%
1%
14%
2%
0%
10%
20%
30%
40%
50%
Less than2%
increase
2 to 4%increase
4 to 6%increase
6 to 8%increase
8 to 10%increase
10 to20%
increase
over 20%increase
Noincrease
Pay cut
Average = 3%
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June 2007 6
For how long have you been an engineer?
3%
7%
15%
19%
15%
41%
0%
10%
20%
30%
40%
50%
Less than2 years
2 to 5years
6 to 10years
11 to 15years
16 to 20years
More than20 years
Average = 18 years
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June 2007 7
In general, how satisfied are you with your engineering career?
Satisfied58%
Very satisfied22%
Dissatisfied21%
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June 2007 8
Do you have supervisory and/or budget responsibility?
Both, 30% Budgetary, 23%
Supervisory, 22%
Neither: 25%
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June 2007 9
If you are supervising people, how has this changed during the past 2 years?
Same, 45%
More, 34%Less, 21%
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June 2007 10
What is the number of employees that you are supervising?
33Average
2%1%50 – 99
2 years agoToday
64%60%Fewer than 5
0%1%100 – 149
6%7%20 – 49
8%10%10 – 19
20%21%5 – 9
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June 2007 11
How many years have you worked in your present job?
31%
16%
23%
30%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Less than 3 years 3 to 5 years 5 to 10 years More than 10 years
Average = 6.5 years
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June 2007 12
Has your company laid off engineers in the past 12 months?
No, 68%Yes, 32%
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June 2007 13
Have you personally been affected by layoffs in the past 12 months?
(among those whose companies have laid off engineers in the past 12 months)
Yes, 19%
No, 81%
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June 2007 14
What skills do engineers need to get ahead in their profession today?
% of respondents
11%Other
36%Finance/ accounting skills
37%Marketing/ sales skills
45%Language skills
71%Team-building skills
88%Communication/ presentation skills
88%Computer skills
89%Project management skills
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June 2007 15
In an average week, how many hours do you work?
1%
38%
32%
16%
7%4%
1% 1%
0%
10%
20%
30%
40%
Under40
40 - 44 45 - 49 50 - 54 55 - 59 60 - 64 65 - 69 70 ormore
Average = 46 hours
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June 2007 16
How has the number of hours you work each week changed over the past year?
Fewer hours, 12%
More hours, 30%Same number of
hours, 59%
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June 2007 17
What factors have the greatest impact on your satisfaction with your current job?
% of respondents
3%Other
2%Managing people
2%Relationship with subordinates
4%Travel
4%Physical or ergonomic environment at work (positive or negative)
4%Company size
4%Leading a team
9%Workload
10%Company's financial health
15%Relationship with boss
15%Location
18%Feeling of recognition
20%Job Security
20%Benefits
20%Advancement opportunities
21%Relationship with colleagues
40%Technical challenge
41%Feeling of accomplishment
45%Salary
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June 2007 18
How much of your company’s design work is outsourced?
22%
25%
17%
9%
4% 4%
7%
0%
5%
10%
15%
20%
25%
30%
None 1 - 10% 11 - 20% 21 - 30% 31 - 40% 41 - 50% More than50%
Average = 9%
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June 2007 19
What specific design work is your company outsourcing?
% of respondents
18%Other (structural, optomechanical, packaging)
17%Applications engineering
21%Systems design
22%Circuit design
23%Test & measurement
26%Board-level design
29%CAD
37%Mechanical design
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June 2007 20
What is the most difficult challenge you face in your current job? (unaided)
% of respondents
3%Lack of recognition from management
3%Lack of advancement opportunities
3%Dealing with co-workers
3%Job security
3%Corporate politics/bureaucracy
3%Low salary/small pay increases
3%Dealing with demanding clients
3%Developing new products
4%Limited budget to complete projects/getting funding for new projects
5%Outsourcing portions of the company
5%Multi-tasking
6%Staying motivated/interested in my job
7%Limited resources/workforce
9%Increased workload
9%Staying current with technology
13%Poor/ incompetent management
14%Meeting deadlines/time management
responses 3% and over are shown; see data tables for all other responses
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June 2007 21
How satisfied are you with your current position?
Satisfied, 56%
Very satisfied, 17%
Dissatisfied, 27%
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June 2007 22
How actively are you seeking another job?
41%I'm always open to better opportunities
13%Actively
23%I'm happy where I am
24%Passively
% of respondents
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June 2007 23
Would you recommend this field to your son or daughter, or to a friend?
No, 37%
Yes, 63%
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June 2007 24
I feel that I am appreciated and respected in my role as an engineer
9%
44%
24%
18%
5%
0%
10%
20%
30%
40%
50%
Strongly agree Agree Neutral Disagree Strongly disagree
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June 2007 25
I feel that I am fully using my engineering skills
7%
31%
25%
29%
9%
0%
10%
20%
30%
40%
Strongly agree Agree Neutral Disagree Strongly disagree
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June 2007 26
I feel that I am Underpaid and Overworked
18%
36%
30%
14%
2%
0%
10%
20%
30%
40%
Strongly agree Agree Neutral Disagree Stronglydisagree
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June 2007 27
I feel that Engineering Work is Too Often Outsourced to China and/or Other Countries
15%
30%
33%
17%
5%
0%
10%
20%
30%
40%
Strongly agree Agree Neutral Disagree Stronglydisagree
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June 2007 28
Summary of Agreement Statements
53%Appreciated and respected
38%Fully using engineering skills
% agreeing
45%Too often outsourced to China and/or other countries
54%Underpaid and overworked
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June 2007 29
Educational Background
1%Other
1%Current student
% of respondents
5%No college degree
2%Ph.D. in engineering
3%Advanced degree in non-engineering field
5%Bachelors in non-engineering field
7%Masters in business administration
10%Two-year Associates degree in technical field
19%Masters degree in engineering
46%Bachelors degree in engineering
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June 2007 30
What is your degree in, specifically? (unaided)
% of respondents
2%Drafting
2%Mathematics
2%Manufacturing
2%Physics
3%Chemical Engineering
4%Industrial Engineering/ Industrial Technology
5%Computer Engineering/ Computer Science
6%Electronics
6%Business/ Management
27%Electrical Engineering
40%Mechanical Engineering
responses 2% and over are shown; see data tables for all other responses
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June 2007 31
What is your primary engineering discipline?
% of respondents
7%Other
2%Materials engineering
4%Software engineering
5%Controls engineering
11%Manufacturing engineering
30%Electrical/electronics engineering/Electromechanical engineering
40%Mechanical engineering
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June 2007 32
Are you working on more, the same, or fewer disciplines now than 12 months ago?
Fewer, 6%
More, 44%Same, 49%
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June 2007 33
What is your company’s major product line?
3%Instruments/Test equipment
% of respondents
30%Other (biotechnology, rail, resins)
2%Electronic Components
3%Machine Tools
3%Contract Manufacturing
4%Computers/Peripherals
4%Consumer Electronics
4%Semiconductors
5%Industrial Controls
6%Communication Systems
6%Defense Systems
9%Medical
9%Aerospace
12%Automotive
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June 2007 34
How many people does your company employ?
19%
23%
9%
49%
0%
10%
20%
30%
40%
50%
Fewer than 100 101 to 500 501 to 999 1,000 or more
Average = 948
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June 2007 35
In which region do you work?
Average salaries for each region are shown
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June 2007 36
What is your age group?
2%
12%
31%
36%
18%
2%
0%
10%
20%
30%
40%
18 - 25 26 - 34 35 - 44 45 - 54 55 - 64 65+
Average = 46
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June 2007 37
Looking ahead over the next five years, where do you see the role of the engineer going?
(unaided)
% of respondents
3%Receive less respect
3%Lower salaries
3%Increased emphasis on system engineering
3%Will require more creativity/innovation
3%Longer hours/heavy workload
3%More involved in sales/marketing
3%Engineering becoming more important/growing
3%Less design/ more emphasis on integration
4%Increased demand for computer/software engineering
5%Taking on non-engineering/administrative responsibilities
5%Reduced to only high tech engineering/requires specialization in engineering
6%Engineering is declining
6%More emphasis on design/more new products
7%Required to be more diversified/able to work in all areas of engineering
10%Serving as support/management for outsourced engineering
15%Take on role as manager/project manager
24%Outsourcing engineering to other countries especially China, India
responses 3% and over are shown; see data tables for all other responses.
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June 2007 38
How important is being creative and innovative in your role as a design engineer?
1%
5%
11%
19%
65%
0% 20% 40% 60%
Very Important
Somewhat important
Important
Not very important
Not at all important
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June 2007 39
Do your current design projects require you to be more creative and innovative than a year ago?
No, 50%Yes, 50%
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June 2007 40
Why are your current design projects requiring you to be more creative and innovative than a year ago?
(unaided; respondents saying yes)
% of respondents
3%Changes in the market
3%Always new problems to solve
3%Have new and better ways to design
3%Change in responsibilities
3%Do more with less attitude
4%Products require more features
5%Customer demands
5%Making products smaller
5%Everything needs to be better/quality requirements
6%Faster to market/less time allocated to complete projects
8%Innovation/ creativity sells products
8%Demand for new products/new applications
9%Designs becoming more complicated
10%New technologies
15%To stay ahead of the competition
21%Cost considerations/budget restrictions
responses 3% and over are shown; see data tables for all other responses.